Whether you’re new to cryptocurrency or well-versed in digital currency, there might come a time when you want to add Litecoin (LTC) to your holdings. Litecoin is often called “the silver to Bitcoin’s gold,” although it’s a completely separate cryptocurrency.
Created by Charlie Lee in October 2011, Litecoin was one of the first cryptocurrencies to launch after Bitcoin. The crypto aims to be a global digital payment designed for everyday transactions with its faster speed and lower costs.
Where Can I Buy LTC?
You can buy LTC with several different fiat currencies on a number of different crypto exchanges. Here are a few exchanges where you can exchange Canadian dollars for LTC:
With Kraken, users can pair LTC with several fiat currencies, not just the U.S. dollar. You can pair LTC with the euro, the British pound, the Australian dollar and of course, the Canadian dollar to name a few. Kraken allows you to buy Litecoin with Canadian dollars directly using an Interac e-Transfer from your bank account, initiate a wire transfer or make an in-person payment at your local Canada Post.
Note the terminology of “trading pairs,” which comes up quite often on crypto exchanges. One example of a trading pair is LTC to Tether (USDT). In the case of LTC/USDT, bitcoins can be converted into Tether, a stablecoin whose value is pegged to the U.S. dollar.
If you’re looking to buy and trade LTC with Tether, here are a few exchanges that pair USDT with LTC:
- Bybit (all provinces except Quebec)
How To Buy LTC
1. Choose a Cryptocurrency Exchange
You can buy Litecoin directly through Litecoin-specific wallets, such as Litewallet, a mobile app available through Google Play.
If you’re all-digital at heart and want to use Litecoin for payments, you can likely get by with a Litecoin-specific app that lets you buy and sell Litecoin.
If you plan on using Litecoin as an investment, you’ll probably do better by opening an account at a crypto exchange.
You’ll also want to ensure that the crypto exchange you choose offers Litecoin, which won’t be too difficult since it’s a popular digital currency. Beyond availability, you’ll want to compare the best cryptocurrency exchanges for qualities such as fees, security and simplicity.
2. Buy Litecoin
Once you decide on an app or exchange for buying Litecoin, you’ll have to determine how to fund your purchase. If you’re using a payment or Litecoin-specific app, you can fund your account by linking a bank account, credit or debit card. Keep in mind that not all banks or credit card issuers in Canada allow you to perform crypto-related transactions.
Once you’ve funded your account, you’re ready to make your first Litecoin purchase. Depending on the app or exchange you’re using, the buy transaction could be as simple as a click, or you might have to enter the ticker (LTC) and indicate the amount you want to purchase.
When your purchase is complete, you might own full Litecoins or partial coins. For example, if Litecoin is trading at $100 and you want to invest $50, you’ll own 0.5 LTC. If you make a purchase for $100, you’d own 1 LTC.
3. Store Your Litecoin
If you’re new to crypto, you might not be used to having choices for where to “store” an asset. But with Litecoin, you have several choices.
Most of the popular crypto exchanges have built-in digital wallets where you can store your Litecoin and other crypto purchases. Some folks prefer to store their crypto in a separate digital wallet that’s not linked to the internet to help keep their crypto safe from hackers.
While the major exchanges have insurance against hacking events and such, you might opt to store your Litecoin in one of these offline wallets.
Here are a few options for storing your LTC:
- Hardware Wallets. These are a common digital asset storage method, where hardware devices store the private keys to the owners’ assets and allow you to interact with the wallet without exposing your data. These devices can connect to your PC, phone or tablet to transact with LTC. A few hardware wallets that support LTC include Leger, Trezor and BitBox.
- Paper Wallets. For paper wallets, you use a private key to send funds. For your paper wallet, simply print your private keys and recovery passphrases on a piece of paper and then store it for safekeeping. This is known as a “cold wallet.”
- Desktop/Mobile Wallets. Mobile and desktop wallets are typically considered “hot wallets” known for their ease of use. But hot wallets can be vulnerable to online attacks, so it’s important to research the reputation of the wallet where you plan to store your crypto. A few mobile wallets that allow you to store LTC include Edge, Mobi and Exodus.
- Crypto Exchanges. Many exchanges that trade LTC will let you store your crypto. A couple of crypto exchanges include Coinbase and Newton.
Should You Buy Litecoin?
Before you invest your money, know the risks of cryptocurrency and keep your investment to a small amount of your net worth.
As with all cryptocurrencies, Litecoin can be a highly volatile asset. Experts suggest limiting your investment to a small fraction of your net worth in cryptocurrencies, including Litecoin.